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By Rodrigo Campos NEW YORK, Oct 10 (Reuters) - A rally of Brazilian assets could be extended if market star Jair Bolsonaro wins the award the presidential election on 28 October and put the reforms the pension system and the privatization process, said investors. Markets seem to ignore the lack of details of Bolsonaro about the policies throughout the campaign, as well as his misogynistic, your homophobic and racist. They also seem to be rejecting the concern of some brazilians about what his speech might trigger, in a country mired in violence and deeply polarized. "No investor has said to me ... I will not go into the History of Brazil because it is too polarized, "said Alberto Bernal, Emerging Markets Leader and Global Strategist at XP Investments in Miami. "The reality is that the polarization that exists in Brazil "It's no different than the United Kingdom, Germany, United States," he said. I said. "The world has become much more polarized." Bolsonaro exceeded expectations by receiving 46 percent of almost 17 points more than Fernando Haddad Left Labor Party (PT) ranked second in the first round elections last Sunday. He needed more than 50 percent in the first round for a total victory. Investors still fear that PT's victory means a return to a state-run economy that would derail ongoing reforms and very unpopular president Michel Temer of the Brazilian The Democratic Movement Party (PMDB) partially pushed through Congress. Bolsonaro's party gains on the PT last the weekend elections helped lift Brazilian assets. "The issue was a return to the interventionist policy of the PT. It's now less likely, but not impossible, "said Alberto Ramos, director of economics for Latin America at Goldman Sachs research. "If the market (stock market) becomes more comfortable with implementation, there is much more potential, "he said. Pension reform is the most important element for investors minds, said Jim Craige, head of emerging markets at Stone Harbor Investment partners. "It will require political skill on his part and we do not do it know enough about him yet to say with a high degree of belief that this will be done, "said Craige. "It will be played as he goes up his team." ORTHODOX PACIFIER Bolsonaro has postponed its likely economic policy Minister of Finance, economist trained at the University of Chicago Paulo Guedes. The institution is known for its conservatives or Orthodox views on economic policies. He approached a number other businessmen, mainly bankers, to take a stand his cabinet. "The market gives the benefit of the doubt that Bolsonaro will be able to deliver some of the things that Guedes has spoken and is much more realistic about What's going on? Privatize everything is not right to arrive, "said Bernal. On Wednesday, Brazilian asset prices declined in part after reports that prosecutors are targeting Guedes for allegedly participating in a fraud related to large pension funds state enterprises. Yet the general consensus among financial market analysts Brazil's strengths have more room for improvement. After a strong recovery in equities, debt and currency Bolsonaro took a strong lead in opinion polls in mid-September, The Brazilian stock market has reached unprecedented highs, while its currency, the real, appreciated by more than 10% at the US dollar in the last three weeks. However, at around 3.75 for a dollar, the real is far from the average of 3.52 in the last year or the annual average of 3.19 in 2017. The iShares exchange in Brazil negotiated fund, which follows Brazilian companies via the United States 15% from the peak of 2018 and 60% percent of his life high. External factors contain the rally, said Kathryn Rooney Vera, Head of Research and Emerging Markets Strategy at Bulltick LLC in Miami. If the current trade war between the United States and China climbing Brazil would become a "sale", although not the basic case of Rooney Vera. The commercial niche between the two The world's largest economies have weighed on emerging markets assets globally. "Evaluations have finally been pretty cheap," she said, pointing out that she went to Brazil in mid-September. "Imagine what it would be today if the feeling of emergence the markets was higher. " (Report by Rodrigo Campos, edited by Daniel Bases)
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